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UK Economy set to grow year on year

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The BCC Has stated the UK economy to grow in the next year.

The following was posted here in January 2015:

The British Chambers of Commerce (BCC) is stating the UK`s economy is set to strengthen in the coming year.

Looking at important indicators coming from over 8,000 businesses it shows that the factors are higher than the crisis in 2007. Specifically manufacturing sectors, showing orders and employment are at all time highs.

John Longworth, director general of the BCC said: “It is a fantastic to start the New Year with a very positive quarterly survey. Firms across the board believe they can create jobs, invest, and export.

“It is especially pleasing that the spurt in manufacturing has proven not to be a fluke. But businesses have major ambitions, and to be able to meet them, more support must be provided,” he said.

The findings predict the UK economy to grow by 0.9% in the fourth quarter. The BCC has also said that they expert higher full-year growth in 2014.

This is excellent news for UK business and shows the conservative recovery might just be working after all.

Updated June 2016:

TheUK economy is predicted to continue to grow strongly during 2016 despite the global slowdown, according to a recent report by EY.

With the continued growth in house prices, increasing demand for exports from the UK and a rise in the average household budget, financiers are now predicting this will boost Britain’s economy and UK businesses further during the remaining months of 2016, according to research published earlier this year.

Top London economists estimate that Britain’s economy will grow by an average of 2.6% this year, compared with just 2.2% during 2015, despite a disappointing start to the year from global markets.

With the rise in the new national living wage to £7.20 per hour, householders have an increased disposable income, and with a combination of low interest rates and low inflation, economists are seeing a boost in consumer spending resulting in a forecast growth of 2.8% over last year.

The report by EY also predicted that house prices would rise by an average of 6.5% this year, but on the downside the levels of new house building is still set to fall short of what is needed to satisfy demand.

In a separate survey conducted by the Confederation of British Industry and accountancy firm PwC, showed nearly 50% of financial services companies reporting an increase in their business in the latter quarter of 2015 and into early 2016, with activity expected to continue to increase over the rest of this year, according to 30% of companies surveyed.

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